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The Macroeconomic Impact of Reducing Gross Gambling Yield: An Empirically Informed Model

Author

Listed:
  • Tibor Szendrei

  • Arnab Bhattacharjee

  • Adrian Pabst

  • Katherine Simpson
  • Jingyi Gu
  • Graeme Roy
  • Emma McIntosh
  • Heather Wardle

Abstract

The 2023 White Paper High Stakes: Gambling Reform for the Digital Age proposed a series of enhanced regulatory measures for gambling, which are projected to reduce Gross Gambling Yield (GGY): the amount of money retained by the gambling industry after paying out winnings:by approximately £812 million. This means that net spending on gambling by consumers is estimated to fall by £812 million as a result of new measures brought in by the government. We use this projected impact on GGY to estimate the net economic impact of the reduced gambling expenditure. To do this, we survey a sample of people who regularly gamble, asking how they would reallocate their spending if they could no longer spend as much on gambling. We then use these responses to model the broader macroeconomic effects of reported shifts in spending.

Suggested Citation

  • Tibor Szendrei & Arnab Bhattacharjee & Adrian Pabst & Katherine Simpson & Jingyi Gu & Graeme Roy & Emma McIntosh & Heather Wardle, "undated". "The Macroeconomic Impact of Reducing Gross Gambling Yield: An Empirically Informed Model," National Institute of Economic and Social Research (NIESR) Discussion Papers 577, National Institute of Economic and Social Research.
    • Handle: RePEc:nsr:niesrd:577
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